U.S. Outlook: FOMC signals a return to normalcy
This week the Federal Open Market Committee (FOMC) went ahead with its first interest rate hike in more than nine years.
Highlights of my analysis are below, followed by a link to the full U.S. Outlook report, delivered on Dec. 18.Key observations:
- The mechanics of the liftoff appear to have come off better than the Fed could have imagined.
- Borrowing costs are already going up for business loans and credit cards.
- The rate hike increases for 2016 are expected to remain glacial by historical standards.